CentralNic Group PLC Term changes to SK-NIC acquisition, Trading Update (0680Y)
01 December 2017 - 6:01PM
UK Regulatory
TIDMCNIC
RNS Number : 0680Y
CentralNic Group PLC
01 December 2017
Press Release 1(st) December 2017
The information contained within this announcement is deemed by
the Company to constitute inside information stipulated under the
Market Abuse Regulation (EU) No. 596/2014. Upon the publication of
this announcement via the Regulatory Information Service, this
inside information is now considered to be in the public
domain.
CentralNic Group plc
("CentralNic" or "the Company" or "the Group")
Changes to terms of SK-NIC acquisition
Trading Update
Changes to terms of SK-NIC acquisition
The Company's agreement to acquire SK-NIC, the manager of the
exclusive country code top-level domain for Slovakia, .SK., was
announced on 25th August 2017. Since that date, further to
continued negotiation, the structure of the SK-NIC acquisition has
changed, with the previous asset purchase agreement lapsing, and a
new share purchase agreement ('SPA') being entered into on 30
November 2017, pursuant to which CentralNic will acquire the
SK-NIC, a.s. legal entity and all associated assets and
liabilities. The SPA contains customary warranties and indemnities
for a transaction of this type, and puts in place an arrangement
which allows for any required recoveries under the SPA to be set
off against the deferred consideration payable.
The maximum total consideration for the acquisition remains
unchanged at EUR26.12 million, however the initial cash
consideration for the acquisition will now be slightly lower, at
EUR20.27 million (previously EUR21.27 million), and the deferred
cash consideration will now be slightly higher at up to EUR5.85
million (previously up to EUR4.85 million), and extended in time to
cover a period until 2023. The deferred cash consideration is
dependent on SK-NIC attaining defined growth targets over the next
three years.
The acquisition, on the revised terms, is expected to complete
in the near future.
Trading Update
The Company expects to trade in line with market expectations
for the full year to 31 December 2017, after adjusting for a lower
than anticipated contribution from SK-NIC as a result of the
delayed completion of the acquisition.
Ben Crawford, CentralNic CEO, said: "The acquisition of SK-NIC
is a major, earnings enhancing acquisition for the Group. Buying a
country code top-level domain operator is always complex. We are
delighted to be in a position to complete this acquisition, and
have already progressed the integration strategy as previously
announced."
-Ends-
For further information:
CentralNic Group Plc
Ben Crawford (CEO)
Don Baladasan, Chief Financial +44 (0) 203 388
Officer 0600
Zeus Capital Limited - NOMAD
and Joint Broker
Nick Cowles / Jamie Peel
Corporate Finance
+44 (0) 161 831
John Goold / Alex Davies 1512
/Rupert Woolfenden +44 (0) 203 829
Institutional Sales 5000
Abchurch Communications
Corporate & Financial PR
Advisers to CentralNic
+44 (0) 20 7469
4631
+44 (0) 20 7469
Julian Bosdet 4633
Dylan Mark +44 (0) 20 7469
Alejandra Campuzano 4634
centralnic@abchurch-group.com www.abchurch-group.com
About CentralNic Group plc
CentralNic (AIM: CNIC) is a London-based AIM-listed company
which develops and manages software platforms allowing businesses
globally to use the internet for their own websites and email, as
well as protecting their brands online. Its core growth strategy is
identifying and acquiring cash-generative businesses with annuity
revenue streams and exposure to emerging markets, and migrating
them onto the CentralNic software and operating platforms.
CentralNic operates globally with customers in over 200
countries. It earns revenues from the worldwide sales of internet
domain names and hosting on an annual subscription basis.
For more information please visit: www.centralnic.com
This information is provided by RNS
The company news service from the London Stock Exchange
END
UPDBMBMTMBAJTBR
(END) Dow Jones Newswires
December 01, 2017 02:01 ET (07:01 GMT)
Team Internet (LSE:TIG)
Historical Stock Chart
From Apr 2024 to May 2024
Team Internet (LSE:TIG)
Historical Stock Chart
From May 2023 to May 2024